Southern Pine Lumber Co. v. Ward

208 U.S. 126, 28 S. Ct. 239, 52 L. Ed. 420, 1908 U.S. LEXIS 1428
CourtSupreme Court of the United States
DecidedJanuary 20, 1908
Docket82
StatusPublished
Cited by21 cases

This text of 208 U.S. 126 (Southern Pine Lumber Co. v. Ward) is published on Counsel Stack Legal Research, covering Supreme Court of the United States primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Southern Pine Lumber Co. v. Ward, 208 U.S. 126, 28 S. Ct. 239, 52 L. Ed. 420, 1908 U.S. LEXIS 1428 (1908).

Opinion

*127 Me. Justice White

delivered the opinion of the court.

' Not unmindful that upon this record we- are bound by the findings of fact below made and are confined to determining whether the facts as found sustain the judgment, if there is evidence supporting the findings, and, without departing from that rule, we at the outset refer, in chronological order, to some facts which aré alleged in the pleadings, which are either directly or by-necessary implication-established by the findings, and as to which there can'be no dispute whatever. We do this in ordér, if possible, to dispel the obscurity resulting from the prolixity' of the pleadings, the unnecessary volume and confusion of the record, and the want of accuracy manifested by some of the assignments óf error relied upon.

Prior to June, 1891, two partnerships were located in Texas —one, Grigsby Brothers; the other, the Union Mills Lumber Company, sometimes called the Union Lumber Mills Company. The first (Grigsby Brothers) was composed of G. M. D. Grigsby and D. J. Grigsby; the second' (Union Mills Lumber Company) of the two Grigsbys owning four-fifths interest and T. L. L. Temple, one-fifth. At the'same time there was located in Arkansas a firm known as the Southern Pine Lumber Company, composed- of T. L. L. Temple and Benjamin Whitaker. Prior to June, 1891, D. J, and G. M. D. Grigsby became the recorded owners of the following real estate situated in the city of Oklahoma and in the town of Guthrie, Oklahoma Territory, viz: 1st, an undivided four-fifths interest in five lots in block 60, Oklahoma-City; 2d, an undivided four-fifths interest in one lot, in block 54 of the town of Guthrie proper; an undivided four-fifths interest in and to an undivided one-half interest in block 43 in the town of Guthrie, and a like undivided four-fifths interest in a one-half interest in two lots in block 43 and one lot in block 51, East Guthrie. A like one-fifth undivided interest in the same lots was simultaneously- acquired and recorded in the name of T. L. L. Temple. In June, 1891, the National Bank of Jefferson, in Jefferson, Texas, discounted *128 for Grigsby Brothers a note of that firm for $5,000.00. The note was dated June 11, 1891; matured in ninety days; bore twelve per cent interest from maturity, and stipulated for a ten per cent attorney’s fee in case of suit to collect. This note was secured by a deed of. trust embracing the undivided interest of the Grigsbys in the lots above referred to. E. F. Pentecost, the trustee named in the deed, was empowered, in case of default in payment of the debt to the bank, to sell and apply the proceeds to the payment of the note. This deed was duly recorded in Oklahoma Territory. In August, 1891, the American Exchange Bank of St. Louis discounted for T. L. L. Temple a-note of the Union Mills Lumber Company, drawn for it by D. J. Grigsby. This note was for $884.90, payable in ninety days; bore twelve per cent interest from maturity, and contained a ten per cent attorney’s fee clause. It was indorsed "by T. L. L. Temple individually and by the Southern Pine Lumber Company. This note not having been paid at maturity, the American Exchange Bank of St. Louis, in November, 1891, sued on the note in- a state court at Dallas, 'Texas. ' The defendants were the two Grigsbys and Temple as partners in the Union Mills Lumber Company, the maker of the note, Temple and Whitaker as partners in the Southern Pine Lumber Company, the, indorsers, and Templé individually because of his personal indorsement. Judgment was entered against .all the defendants, as members of the two firms and individually, for $1,022.38, the principal, interest, and attorneys’ fees. An execution was returned in February, 1892, satisfied “by collecting the full amount of principal and costs and interest of this execution from T. L. L. Temple.” In September, 1892, a corporation called thé Southern Pine Lumber Company was organized under the laws of Arkansas at Texarkana in that State. T. L. L. Temple was one of the incorporators and subscribed to 997 .out of a total of 1,000 shares, and he became, the president of the company. In October, 1893, at Texarkana, Texas, a corporation called, the Southern Pine Lumber Company was organized under the laws of Texas. Temple was an • *129 incorporator and became its president. In November, 1894, in the District Court for Logan County, Oklahoma Territory, a suit was commenced in the name of the American Exchange Bank of St. Louis against T. L. L. Temple and Benjamin Whitaker as partners in the Southern Pine Lumber Company; the Southern Pine Lumber Company, the Arkansas corporation, D. J. and G. M. D. Grigsby and T. L. L. Temple as partners of the Union Mills Lumber Company. The petition counted upon two causes of action: first, the judgment which had been rendered in the Texas state court at Dallas' as if that judgment was still due the bank and had not been satisfied, and. second, the sum of $294.56, which was an open account alleged to be due by the Union Mills Lumber Company and the partners thereof, the two Grigsbys and Temple, to the partnership known as the Southern Pine Lumber Company, composed of Temple and Whitaker. This open account, it was alleged, had been transferred by the partnership in 1893 to the Southern Pine Lumber Company, a corporation, which latter, it was averred, had transferred the account to the American Exchange Bank. The defendants, being all non-residents of Oklahoma, were summoned after affidavit by publication and upon affidavit attachments-were issued. The .undivided interest of the Grigsbys and Temple in the lots in Oklahoma and Guthrie were .attached. Ultimately a judgment was rendered in favor of the American Exchange Bank and against the defendants for the amount of' the Texas judgment plus the open account sued upon, with interest and costs. The liens of the attachments were recognized, and under execution the interest of the Grigsbys and Temple in the lots in Oklahoma. and Guthrie were sold .and bought in by “ the Southern Pine Lumber Company, a corporation;” -for' a sum less' than the judgment debt.In the meanwhile the five thousand dollar note remained unpaid in the hands of the National Bank of Jefferson, the note having been- extended, from time to time. In 1896 that bank failed, and the note and trust deed were among the assets of the bank in the hands of the receiver appointed by the Comp- *130 trailer of the Currency. In December, 1898, with the approval of the Comptroller, sanctioned' by an order of the United States District Court, there was paid the receiver of the bank in settlement of the- rights of the bank, $2,000, and the receiver at the time of this payment by a writing assigned and transferred in blank all the right, title and interest of the bank in and to the note and the trust deed securing the payment of the same. The $2,000 was paid by means of a check of a corporation known as the Grigsby Construction Company. With these undisputed facts in hand we now come more immediately to state the case.

This suit was commenced in May, 1900, by a petition filed on behalf of W. B. Ward in the District Court of Logan County, Oklahoma, alleging himself to be the owner of the five thousand dollar note originally held by the Nations, ^ank of Jefferson.A decree for the sum of the note, principal, interest and attorney’s fees, and for the" foreclosure of the trust deed, was prayed.

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Bluebook (online)
208 U.S. 126, 28 S. Ct. 239, 52 L. Ed. 420, 1908 U.S. LEXIS 1428, Counsel Stack Legal Research, https://law.counselstack.com/opinion/southern-pine-lumber-co-v-ward-scotus-1908.